“Oil Breaks Through $70 a Barrel. Here’s How It Could Keep Going.”
June 8, 2021
“Oil prices have rebounded even faster than most oil bulls had expected, and on Monday, oil futures briefly crossed a key threshold. West Texas Intermediate futures, the benchmark for U.S. oil, rose above $70 a barrel late on Sunday, the first time they had hit that number in 2½ years.
Futures dipped below that number as of Monday morning, trading down 0.2% to $69.48 a barrel. Brent crude, the global benchmark, was down 0.3%, to $71.68. Oil stocks were slipping too, with Exxon Mobil (ticker: XOM) off by 0.6%.
The reversal coincided with China reporting its lowest level of crude imports since December, noted Robert Yawger, director of energy futures at Mizuho Securities USA. But China’s data may not say much about global demand. It was likely affected by the central government’s quotas on oil imports by local refiners, Yawger wrote…”